Daiei Kankyo Co., Ltd. (9336) AI Stock Analysis

Daiei Kankyo Co., Ltd.

(TSE/TYO:9336)

Select Model

Rating:76Outperform

Price Target:JPY 4,537.00▲(13.43% Upside)

Action:reiterated

Date:08/17/26

The overall score reflects solid fundamental strength driven by steady revenue and profit growth, attractive margins, and improving but still somewhat volatile cash generation, partially offset by higher leverage in 2026 that increases balance sheet sensitivity to future earnings and interest costs. Technical indicators are largely neutral, with the price clustering around major moving averages and mixed momentum readings that do not support a strong trend view. Valuation is moderately premium relative to the company’s stability and growth, supported by a modest dividend but offering only a slightly above‑average risk‑reward profile rather than clear value or yield appeal.

Positive Factors

Sustained Revenue and Net Income GrowthConsistent revenue expansion alongside rising net income indicates broadening business activity and improving earnings capacity. The multi-year progression provides a durable foundation for continued investment, operational resilience, and compounding profitability over the next several quarters.

Negative Factors

Sharp 2026 Debt IncreaseThe sharp one-year increase in total debt materially changes the company’s financial risk profile after several years of improving leverage. Higher obligations may constrain future capital allocation and increase the importance of maintaining strong earnings and cash generation.

Daiei Kankyo Co., Ltd. (9336) vs. iShares MSCI Japan ETF (EWJ)

Market Cap: JPY 399.39B
Dividend Yield: 1.40%
Average Volume (3M): 174.90K
Price to Earnings (P/E): 24.1
Beta (1Y): 0.30
Revenue Growth: 13.76%
EPS Growth: 18.44%
Country: Japan
Employees: 2,428
Sector: General
Sector Strength: 55
Industry: Waste Management

Daiei Kankyo Co., Ltd. Business Overview & Revenue Model

Company Description

Operating throughout Japan, Daiei Kankyo Co., Ltd. specializes in waste management and the recovery of valuable resources. Its comprehensive service portfolio includes waste treatment and recycling solutions, soil decontamination, energy generation f...

Daiei Kankyo Co., Ltd. Financial Statement Overview

Summary

Financial performance is strong: revenue and net income have grown steadily to record levels, with robust mid‑ to high‑teen net margins and mid‑20s operating margins, supported by improving cash generation and consistently positive free cash flow since 2024. Leverage had been reduced through 2025 but rose again in 2026 with debt slightly above equity, and free cash flow remains somewhat volatile, so balance sheet risk and cash flow consistency modestly temper the otherwise solid profile.

Income Statement

86Very Positive

Balance Sheet

78Positive

Cash Flow

80Positive

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	91.97B	87.86B	80.18B	73.03B	67.66B	64.99B
Gross Profit	39.97B	37.85B	34.95B	31.62B	29.09B	25.91B
EBITDA	36.35B	34.13B	28.66B	27.49B	22.39B	21.05B
Net Income	16.49B	15.85B	14.36B	13.59B	10.49B	8.87B
Balance Sheet
Total Assets	250.83B	260.19B	184.91B	172.80B	163.62B	158.28B
Cash, Cash Equivalents and Short-Term Investments	45.90B	55.79B	53.66B	52.90B	54.81B	61.06B
Total Debt	108.54B	115.63B	66.53B	61.20B	66.78B	79.81B
Total Liabilities	136.65B	146.12B	90.22B	84.78B	84.64B	98.21B
Stockholders Equity	110.90B	109.83B	94.27B	87.56B	78.49B	59.74B
Cash Flow
Free Cash Flow	0	7.75B	6.67B	8.55B	3.33B	386.00M
Operating Cash Flow	0	25.46B	23.02B	21.67B	16.27B	18.05B
Investing Cash Flow	0	-65.11B	-18.96B	-15.56B	-12.30B	-16.45B
Financing Cash Flow	0	41.43B	-3.54B	-7.64B	-8.97B	-3.17B

Daiei Kankyo Co., Ltd. Technical Analysis

Technical Analysis SentimentPositive

Last Price4000.00

Price Trends

50DMA3783.75Positive

100DMA3772.58Positive

200DMA3832.99Positive

Market Momentum

MACD73.78Negative

RSI60.76Neutral

STOCH62.47Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:9336, the sentiment is Positive. The current price of 4000.00 is above the 20-day moving average (MA) of 3844.25, above the 50-day MA of 3783.75, and above the 200-day MA of 3832.99, indicating a bullish trend. The MACD of 73.78 indicates Negative momentum. The RSI at 60.76 is Neutral, neither overbought nor oversold. The STOCH value of 62.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JP:9336.

Daiei Kankyo Co., Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

JP:9336 against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JP:5698	80Outperform	JPY 18.98B	7.42	―	3.96%	-9.49%	118.07%
JP:9336	76Outperform	JPY 399.57B	24.13	―	1.40%	13.76%	18.44%
JP:9793	72Outperform	JPY 161.97B	15.71	12.40%	2.44%	3.67%	13.39%
JP:5699	65Neutral	JPY 4.93B	6.76	―	2.20%	10.72%	73.57%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%
JP:2195	52Neutral	JPY 6.33B	20.24	―	1.54%	0.03%	-16.01%
JP:4657	43Neutral	JPY 2.06B	16.78	―	1.86%	-8.39%	1657.23%

* General Sector Average

Performance Comparison

JP:9336 and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
JP:9336	Daiei Kankyo Co., Ltd.	4000.00	619.73	18.33%
JP:9793	Daiseki Co	3405.00	229.70	7.23%
JP:2195	Amita Holdings Co., Ltd.	325.00	12.41	3.97%
JP:4657	Environmental Control Center Co., Ltd.	431.00	12.61	3.01%
JP:5698	Envipro Holdings, Inc.	632.00	142.32	29.06%
JP:5699	IBOKIN Co., Ltd.	1453.00	82.86	6.05%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 17, 2026

Daiei Kankyo Co., Ltd. AI Stock Analysis